Great American Oilchange (GAO) sells a combined oil change service and parts package for $40. A customer who supplies the parts (oil and filter) is charged $30 for only the service, whereas a customer who buys only the oil and filter (for do-it-yourself use) is charged $30 for the parts. The parts cost GAO $24. CP6-4 (Algo) Part 1 Required: 1. Determine the dollar amount of revenue from the oil change service versus the sale of parts for each combined oil change package. TIP: To calculate the percentage of the combined package that relates to the service, divide the stand- alone selling price of the service by the combined stand-alone selling prices of both the service and parts. Parts Service Allocated Transaction Price

Great American Oilchange (GAO) sells a combined oil change service and parts package for $40. A customer who supplies the parts (oil and filter) is charged $30 for only the service, whereas a customer who buys only the oil and filter (for do-it-yourself use) is charged $30 for the parts. The parts cost GAO $24. CP6-4 (Algo) Part 1 Required: 1. Determine the dollar amount of revenue from the oil change service versus the sale of parts for each combined oil change package. TIP: To calculate the percentage of the combined package that relates to the service, divide the stand- alone selling price of the service by the combined stand-alone selling prices of both the service and parts. Parts Service Allocated Transaction Price

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Carla Vista Company bottles and distributes B-Lite, a diet soft drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers. For the year 2022, management estimates the following revenues and costs. Sales Direct materials Direct labor Manufacturing overhead-variable Manufacturing overhead-fixed $2,000,000 550,000 400,000 420,000 190.000 Selling expenses-variable Selling expenses-fixed Administrative expenses-variable Administrative expenses-fixed $109,000 58,000 21,000 52.000
CH7-44 Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic equipment set (blocks, strap, and small pillows). Last year, Cherry Blossom Products sold 13,500 DVDs and 4,500 equipment sets. Information on the two products is as follows: Questions are attached. Please ensure to answer only Question 4 : COMPUTE THE MARGIN OF SAFETY FOR THE COMING YEAR IN SALES DOLLARS - THANK YOU DVDs Equipment Sets Price $8 $25 Variable cost per unit 4 15 Total fixed cost is $110,100. Suppose that in the coming year, the company plans to produce an extra-thick yoga mat for sale to health clubs. The company estimates that 9,000 mats can be sold at a price of $20 and a variable cost per unit of $11. Total fixed cost must be increased by $36,700 (making total fixed cost $146,800). Assume that anticipated sales of the other products, as well as their prices and variable costs, remain the same.
Answer the following question(s) using the information below: Five Appliances Store sells a refrigerator and a freezer as a single package for $1,000. Other data are in the chart below. Selling price Manufacturing cost per unit Stand-alone product revenues Refrigerator Full-size Freezer $825 $620 O a. $620.00 O b. $687.50 O c. $500.00 O d. $775.00 e. $612.50 $1,225,000 $375 $180 $775,000 Packaged Price $1,000 Using the stand-alone method with manufacturing cost per unit as the weight for revenue allocation, what amount will be allocated to the refrigerator?
CAR-93482 company purchases battery powered bikes from a manufacturer for $1,497 per unit and then sells them to its customers- for $2,300 each. The company's monthly selling and administrative costs are the following: Costs Cost Formula Selling: Advertising Sales salaries and commissions Delivery of bikes to customers Utilities Depreciation of sales facilities Administrative: Executive salaries Insurance Clerical Depreciation of office equipment $ 951 per month $ 4,792 per month, plus 5% of sales $ 60 per unit sold $ 667 per month $ 4,994 per month $ 13,496 per month $ 692 per month $ 2,455 per month, plus $38 per unit sold $ 926 per month Last month CAR-93482 sold 63 units. How much was the company's total contribution margin for the month? O$ 50,589 O$ 37,170 O$ 107,730 O$ 94,311
ok " t 0 inces Baird Corporation makes and sells state-of-the-art electronics products. One of its segments produces The Math Machine, an inexpensive calculator. The company's chief accountant recently prepared the following income statement showing annual revenues and expenses associated with the segment's operating activities. The relevant range for the production and sale of the calculators is between 32,000 and 66,000 units per year. Revenue (40,eee units $11.00) Unit-level variable costs Materials cost (40,000 $3.00) x Labor cost (40,000 × $2.00) Manufacturing overhead (40,000 x $0.50) Shipping and handling (40,000 × $0.32) Sales commissions (40,000 × $2.00) Contribution margin Fixed expenses Advertising costs Salary of production supervisor Allocated companywide facility-level expenses Net loss Complete this question by entering your answers in the tabs below. Req A Required a. A large discount store has approached the owner of Baird about buying 9,000 calculators. It would…
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Boat Brothers has been asked to refit a boat for a customer. Skilled labour costing £16 per hour will be required for the refit. The workers will have to be taken off the production of kayak for resale for a total of 480 hours. The kayak are sold for £400 each and take 24 hours of skilled labour. The material cost of each kayak is 120. What is the relevant cost when assessing the viability of the refit contract? OA. £5,600 OB. £8,000 OC. £3,840 OD. £1,760 Next
A10 please help.....
Rizio company purchases a machine for 10,100, terms 1/10, n/60, FOB shipping point